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ftm Radio Page - week ending February 19, 2021

Finance people circling radio group, some moving in
new services

In this post-modern age anxieties of every media company employee rise to the maximum when people from finance and private equity are given top management positions. Things will be different, they understand. Sometimes there are protests. Sometimes not.

Russian broadcaster Russian Media Group (RMG) has appointed Dmitry Mednikov as managing director, reported Vedomosti (February 12). He arrives from private equity firm Equity Algorithm, an environmental technologies specialist fund, where he was deputy general director. Equity Algorithm is best known in Russia for investing in recycling start-up Sborbox, self-described as “Uber for garbage,” noted Kommersant (December 18, 2018) and the Champions fitness center chain. Previously, Mr. Mednikov worked for state TV channels Vesti 24 and Russia 2 before joining state broadcaster VGTRK as deputy general director in 2009.

“He will be in charge of the formation and implementation of a media business development strategy aimed at long-term increase in market share, revenues and impact on the music industry,” said the company statement. Russian Media Group operates radio channels Radio DFM, Hit FM, Radio Maximum, Radio Monte Carlo and Russian Radio and digital TV channel Ru.TV. The company was effectively gifted to state-owned concert promoter Goskontsert with music promoter Vladimir Kiselev in 2015 to create a “patriotic media group.” (See more about media in the Russian Federation here)

“The modern format implies the presence of radio content not only on radio receiving devices, but also on other services - mobile and digital platforms,” said Mr. Mednikov to Vedomosti. “My area of responsibility will include the media business and improving its performance in all broadcast environments, including mobile and digital platforms.”

Installed as RMG general director is Lyubov Malyarevskaya, deputy general director since 2015. Her previous employment has been in finance, including managing director of Sberbank finance department. At the same time Sberbank director of business development Gavriil Gordeev joins the RMG board “overseeing interaction with industrial partners.” RMG chief executive Roman Sarkisov will “leave his post” on March 1st, reported business news portal rbc.ru (February 12).

Mobile apps could be the future for radio, the only future
return to sender, address unknown

Public radio broadcasters have been strong believers in new technologies. To a great extent this stems from financing models that allow, if not promote, longer term planning. Sometimes all the new gizmo tricks outrun the listeners.

Berlin-Brandenburg public broadcaster RBB is in the midst of negotiating a new State Treaty agreement. Each German state does this periodically with the regional public broadcasters. The State Treaty (Staatsvertrag) becomes a contract. The bottom line is financial: how the household license fee allocation is spent. (See more about media in Germany here)

A leaked draft from a participant in the negotiations suggests distribution of RBB channels could change. "What we didn't know at the time: The RBB is planning major changes to its radio offerings,” said the Berlin chapter of the German Journalists Union (DJV Berlin) chairman Steffen Grimberg in the organization’s newsletter, quoted by radio news portal radiowoche.de (February 13) and daily newspaper Der Tagesspiegel (February 14). “And it is clearly relying on the Internet.”

If the draft being floated becomes the contract RBB would offer one main channel for Berlin - rbb 88.8 - and one for Brandenburg - Antenne Brandenburg - both distributed on multiple platforms including FM. Four other channels in each State would be “commissioned” according to the following priorities: culture, news and information, content for younger audiences, as well as popular music, information and entertainment. These can be “distributed exclusively via the Internet or replaced by comparable offers on the Internet.” (See more about digital radio here)

The possible result would be RadioEins, Fritz, RBB Kultur, Inforadio and Cosmo only available on mobile apps. The RBB Broadcasting Council would need to agree to this and they are not sure how it would work. “An exclusive definition of our radio programs on certain distribution channels, in the case of FM, would be insufficient,” said an RBB spokesperson to Der Tagesspiegel. "How this will be presented in practice in the future is not anticipated.”

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